Talk among G8 finance ministers of “exit strategies” – how to avoid the inflationary impact of spending their way out of recession – is prompting alarm among development agencies and international institutions who warn the worst of the crisis is yet to hit the developing world.

“I’m worried about that,” Kanayo Nwanze, head of the UN International Fund for Agricultural Development, told the Financial Times on Saturday in the southern Italian city of Lecce where he was invited to address leading finance ministers of the developed world.